FXStreet (Guatemala) – USD/JPY is currently trading at 123.84 with a high of 123.96 and a low of 123.69.
USD/JPY has been a small chop on the back of the CPI data that came overall better than expected. The BoJ has a target of 2% so we are a long way from there, which is some way in to the distance from here.
Meanwhile, Japanese officials are stepping up with their remarks in respect to the fast decline of the Yen once again on the long term depreciation, evident vs the greenback that has rallied to 13 year highs of late. Amari has however recently said that the Yen level is not excessively weak, but more to the point, many officials are concerned about the rapid movements in the currency market that were not conducive to Japan’s overall economic situation.
Technically, the major remains above the 15 year downtrend at 122.07, and above here allows scope for continued up side above the 123.41/23.6% retracement of the entire move down from the 1982 peak. The 124.14 June 2007 high was recently tested and scores were made fir a 13 year high at 124.44. Karen Jones, chief analyst at Commerzbank noted that the market has also completed an ascending triangle which offers a longer term target to 128.00/15. “Dips lower should now find support circa 122.00. Key support is considered to be the 5 month uptrend at 119.20.”
(Market News Provided by FXstreet)